Life Coach Salary
You may be wondering how much life coaches actually make or what kind of salary a full time life coach can expect.
The truth is that coaches CAN make a very good living, from high five figures up to several hundreds of thousands of dollars a year.
But most life coaches don’t make anywhere near that amount because it takes time to build your coaching practice, get clients, learn how to charge what you are worth… and even learn how to develop passive income streams like group coaching programs and related products that support your main coaching practice.
So how much do life coaches make? The truth is: It totally depends.
There are four main factors that determine a life coach’s salary.
1) Their coaching fees, or the amount they charge per coaching session,
2) The number of active coaching clients they have signed up,
3) The price and participation in group coaching programs they offer, and
4) The number of additional revenue streams (often passive income) they create to support their main coaching practice.
In this article, I’ll talk about how much a life coach can charge and some of the basics for getting coaching clients.
The amount different coaches charge per session can vary dramatically. You can probably find some life coaches who charge as little as $40-$50 dollars per hour, or you could hire Anthony Robbins for more than $100K for a single breakthrough coaching session.
As a general guideline, I would suggest that life coaches who are starting out think about moving their rates toward $100 per coaching session. If you are currently charging less than that, set that as your goal.
Compare the value you bring to your clients vs. other typical expenses they may have, like going out to dinner or taking their family to the movies. When you do this, you can definitely justify this as a starting point for what you charge. Keep in mind that you most likely won’t have clients 40 hours a week, so the cost needs to reflect that there is other time involved in managing clients, running your business and marketing your practice.
Once you start consistently getting clients at the rate of $100 per coaching session, you need to seriously consider increasing your rates. Remember that if everyone is saying yes, you are probably not charging enough. Even with perfect marketing and selling, you should still be getting “no” as an answer about 1 out of 5 times. That’s how you know your prices are set high enough.
And once you start adding other streams of income to your coaching practice, you should consider increasing your rates even more so you can work with fewer clients one-on-one and start focusing more of your time on groups and products.
Getting Coaching Clients To Meet Your Life Coach Salary Goals
So let’s assume a life coach charges $100 per session to start. Next we need to discuss how many clients you would need to meet your life coach salary goals.
Life coaching is an attractive profession for many reasons. For one, you can easily start doing it part-time. Very few business opportunities allow someone to keep their full time job while still build a profitable business on the side. Coaching is one of them.
So you can begin getting clients “on the side.” It can be as easy as giving a free consultations to your friends and network, or giving a public talk on “how to lose those last 10 pounds” or “Getting organized after the holidays” and then offer free consultations to those who attend. This will help you start to get clients.
So let’s look at a progression of life coaching salaries, at the rate of $100 per session (assuming 4 sessions per month):
# of clients — Weekly Revenue — Yearly revenue (weekly times 50 to allow for some time off!)
3 — $300 — $15,000
6 — $600 — $30,000
9 — $900 — $45,000
12 — $1200 — $60,000
18 — $1800 — $90,000
Notice that it’s not that difficult to start a PART TIME business making $30k per year “on the side.” You would only need 6 clients in your practice to reach that level!
With 18 clients working with you, you can make $90k per year.
All this assumes the realistic (even low) coaching rate of $100 per session. If you get good at coaching, and also get good at raising rates (while delivering awesome value of course), you can gradually work toward charging $150, $200, $250 and up per hour (don’t forget Anthony Robbins!). But remember, people don’t pay for coaching, they pay for results.
So 18 clients at $250/hr grosses $225,000.00 per year. Not too bad.
There are other ways to increase your revenue as a coach, like adding coaching programs and additional revenue streams, but they are material for another article. For example, you could run small coaching groups of 3-6 clients at $60 per session per client. That could net you as much as $360 per hour and would be more affordable for the clients compared to one-on-one coaching.
You can also run larger groups of potentially hundreds using teleseminar and webinar technology. You can also create and sell products that support your coaching, membership sites with recurring revenue… The list goes on and on. Adding some of those additional revenue streams to the mix allows you to build a real business as a coach.